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See the 1990's VMI and Citadel instances of gender and admissions policies, for details about that little catch in "private" versus "federal compliance."

There are very few educational agencies that are truly "exempt" from federal laws intended to protect those in protected classes (disability, race, gender). Oh, there are agencies that THINK (or will say) that they are-- but a church preschool that runs a USDA lunch program? Yup-- they are obligated under the law because they accept funding from the feds.

If VMI and Citadel unlawfully discriminated on the basis of sex by not accepting women, why are women's colleges such as Wellesley still getting federal money though Pell grants etc.? Similarly, whether racial discrimination in admissions is legal appears to depend on who is being discriminated against.